Spotify this week began testing a higher‑priced Premium Platinum tier in five markets: India, Indonesia, Saudi Arabia, South Africa, and the United Arab Emirates. The tier bundles lossless audio, AI features, and exclusive perks. Consequently, Spotify can now gauge demand for segmented pricing without changing its global Premium offering.
Tencent Music’s SVIP
TME’s Super VIP (SVIP) in China offers a clear playbook. For example, SVIP members pay roughly five times what regular subscribers pay and generate far more revenue per user. Moreover, Tencent Music reported stronger subscription revenue and rising ARPPU in Q3 2025. The company links SVIP growth to premium audio, artist collaborations, early ticket access, and exclusive merchandise.
What makes super‑premium tiers work is the mix of product upgrades and fan‑focused perks. First, immersive audio codecs and enhanced sound tech drove conversions for TME. Second, AI features and limited digital collectibles kept users engaged. Additionally, live events and merch pushed major revenue gains. For instance, early ticket access and VIP treatment proved especially effective in converting and retaining fans.
Spotify’s Pilot Strategy
Spotify’s pilot tests a similar hypothesis but in select emerging markets. Earlier this year Spotify added lossless audio to standard Premium at no extra cost, which raised questions about whether it would gate higher‑value features. Now, the Premium Platinum pilot lets Spotify test a gated approach experimentally. If the results are positive, Spotify could expand segmented pricing more widely.
For music platforms, the lesson is practical and actionable. In short, pairing higher audio quality with AI tools, exclusive content, and live‑event perks can increase ARPPU and deepen loyalty. However, companies must price and package those benefits carefully. Otherwise, they risk alienating everyday listeners.
Key takeaway: well‑designed super‑premium tiers can convert avid fans into higher‑value subscribers. Therefore, platforms that deliver clear, tangible value and fair pricing will likely see the best results. Finally, experimentation in targeted markets offers a low‑risk way to learn what works before scaling globally.
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